Primary vs Co-Signer Rights in Texas

[UT_Texan]

My question involves an auto loan or repossession in the State of: Texas

I financed a car for my brother a couple of years ago because his credit wasn't good enough. The only way it could be done is if I was primary and he cosigned on the loan. The car was bought for his use and he has made all payments on time. He has kept insurance on the car as best I can tell from the lender. The loan is in my name with him as the co-signor and both names are on the title. I don't have a good relationship with him anymore and would like to get my name out of the deal but I am fairly certain he still can't get the car refinanced in his name. I have no need for a 3rd vehicle and probably can't afford it now anyway. I don't think he has been ontime with keeping the car registered, inspected, insured and recently I got a hefty parking ticket citation in the mail (parked in a handicap with expired placard). I was not aware of this till a week later. He has changed registration address in the past to an old one (that he has not lived at for 2 years) and has also given an old work address to the lender as the location of the car. How I found that out was a I received notice in email that there was an address change on my credit. I also believe other people are driving the car. I am growing more concerned for my liability now.

My questions are:

Can I obtain possesion of the car without his acknowledgement or consent?
Can I do a voluntary repossesion without his consent?
Who is ultimately responsible to provide insurance?
If there is an accident and I am not the driver can I be held liable?
Do I have any rights to say who can or can't drive the car?
Are there any other options to get my name off the car?

thanks in advance for any and all help.

[Mr. Knowitall]

If you're not on the title as an owner, you have no right to possession of the vehicle. The owner(s) is responsible to insure the vehicle. The owner(s) decides who drives the car.

If you want your name off of the loan, that's possible if he refinances the loan, if he pays it off, or if the lender agrees.

[UT_Texan]

Thanks for your reply,

However I did seek legal advice because I found out the car has been un-insured for months the policy expired on September 27 of 2009 and he has been driving it as well as my sister with no insurance. I recieved a letter from the bank stating is was not insured and they were going to add their API which would make the car payment go up and only cover their property which does not comply with the laws in the state of Texas on what you are required to have. Which still leaves me in a liable state for others even under their (the banks) insurance. Contacted my brother and sister and was lied to several times on the date they would obtain insurance the date they were suppose to get it has come and gone. I sought legal advise and found out you can write a demand letter requesting the car back due to "Negligent Entrustment" I had no idea the car was un-insured until after the fact. I have had to add it on my insurance for my protection and prevent the bank from adding their own. Because he had no problem with the bank adding theirs on there which again does not solve the insurance problem. And the problem is he is sick, can not work any more and can not drive, and it is starting to get to the point to where I am starting to become liable money wise for a car not in my possession. I wanted to reply to this post and let others know what I found out from an attorney. I would advise all to check with someone that is familiar with the laws in there state before you do anything.

Thanks again for the reply!

[Carol9587]

So did the demand letter work out for you? I am unfortunately in the same situation being the primary signor (in Texas) and not in possession of the car. I have been trying to figure out what options are available to me that can do some good. Thanks.

[Mr. Knowitall]

You can write a "demand letter" asking for anything - but there's no legal basis for demanding that somebody give you a car that you don't own because they don't have insurance, even if you are a cosigner. You can send such a letter and hope....

You should start a new thread for any follow-up questions.

[UT_Texan]

It all depends on who is on the title. Writing the letter is a good start to let the other party know the steps you are taking. If you decide to go to court it will also provide proof on your attempts to resolve the matter and to address negligent entrustment. He got insurance right away but I don't know if that had anything to do with the letter. My advice to talk to an attorney.